COM1170 | Accounting periods: company accounting periods: superseded AP, payment received

If a payment of tax has been posted to the record of a newly superseded Accounting Period (AP), COTAX automatically transfers the postings from the superseded AP record to the linked new AP you have created.

If you do not create any new APs when you supersede an AP containing a payment, COTAX warns you that it has ‘stranded payments’ that it cannot automatically repay or reallocate.

You must use function REWD (Direct Reallocation Within COTAX) or function REAW (Direct Reallocation Within COTAX), as appropriate, to reallocate the payments or function DIRR (Direct Repayment) to repay them.

Cases subsequently appear on LOPU (Overpayments Review List) in HMRC payments if no action is taken in the CT responsible office to deal with the payments.

See COM1021 for a list of functions to use in particular situations.